Falling futures weighed significantly, PE spot market continued its downward trend_Falling futures weighed significantly, PE spot market continued its downward trend

Falling futures weighed significantly, PE spot market continued its downward trend

June 2, 2024

1. Price trends

According to Todudu monitoring, the domestic PE market continued to fall overall this week, and the overall market trading atmosphere did not improve. As of March 24th, the average ex-works price of LLDPE 7042 in East China was RMB 6,400/ton, down 3.52% from the beginning of the week.The average ex-works price of LDPE in East China was about RMB 7,412.5/ton. tons, down 2.31% from the beginning of the week, and the average ex-works price of HDPE 5000S in East China was RMB 6,883.33/mt. Tons on Wednesday.

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Second, market analysis PE This week, the PE market as a whole continued to fall. Ex-factory prices of petrochemical products continued to fall, the market cost support weakened. Plastic futures market fell sharply this week, significantly dampening market sentiment. Sellers continued to be prohibited from shipping. Downstream, market sentiment continued to be weak, except for some factories to replenish goods based on demand.

Lysol fell across the board this week, according to Thoddu's monitoring. On March 27, polyethylene futures L2005 opened at 5,795, with a high of 5,820 and a low of 5,560, and closed at 5,650, before settling at 5,890 and settling at 5,685, down 240, or 4.07%. The trading volume was 418,489 contracts and the position volume was 152,270 sheets. Daily position increase of 18,223 lots. (Estimated unit: yuan / ton)

As of February 27, the total output of domestic polyethylene enterprises was 1.41 million tons, a decrease of 252,300 tons from January. Among them, HDPE output was 587,900 tons, LDPE output was 206,800 tons, and LDPE output was 624,300 tons.

Three. Market forecast

International crude oil was weak, futures prices plummeted, and market sentiment was low. In terms of petrochemicals, most factory prices have also declined, and market cost support has weakened. Currently, downstream thinking is cautious, except for factories waiting for goods. The inventory of petrochemical products is currently at a medium-high level, and sales pressure still exists. The market outlook is expected to be poor in the short term.

If you have any questions, please feel free to contact toodududu (tdd-global@toodudu.com).